Petrol, diesel price hike: RBI governor calls for reduced indirect taxes on fuel -Anulekha Ray

Share this article Share this article
published Published on Feb 22, 2021   modified Modified on Feb 23, 2021

-Livemint.com

* Central and state taxes make up for 60% of the retail selling price of petrol and over 54% of diesel

* On 20 February, petrol price was hiked by record 39 paise per litre and diesel by 37 paise a litre

Reserve Bank of India governor Shaktikanta Das called for reduced indirect taxes on petrol and diesel to contain the fuel prices at a reasonable level. Petrol and diesel prices in India have witnessed a steep climb since the past one week. "CPI inflation excluding food and fuel remained elevated at 5.5% in December, due to inflationary impact of rising crude oil prices and high indirect tax rates on petrol and diesel, and pick-up in inflation of key goods and services, particularly in transport and health categories," RBI governor said in the MPC minutes, published on Monday.

"Proactive supply side measures, particularly in enabling a calibrated unwinding of high indirect taxes on petrol and diesel – in a co-ordinated manner by centre and states – are critical to contain further build-up of cost-pressures in the economy," he further mentioned. Central and state taxes make up for 60% of the retail selling price of petrol and over 54% of diesel.

Please click here to read more.


Livemint.com, 22 February, 2021, https://www.livemint.com/news/india/petrol-diesel-price-hike-rbi-governor-suggests-reducing-indirect-taxes-on-fuel-11613995224952.html


Related Articles

 

Write Comments

Your email address will not be published. Required fields are marked *

*

Video Archives

Archives

share on Facebook
Twitter
RSS
Feedback
Read Later

Contact Form

Please enter security code
      Close